Hospitality Giants 2016 Research

Good hospitality never goes out of style. Which isn’t to say that time doesn’t march on. According to our survey, the big change, going forward, comes down to one word. Technology. It may have been easy to guess that computers would play an increasingly large role in design, but could anyone in the profession have foreseen how important things such as 3-D modeling, mobile apps, and even Wi-Fi would become?


“Depending on the project, we either embrace technology or ‘disguise’ it from the guest experience,” a CRA rep says. “In all cases, technology plays a primary part in our decision- making process.”


When we asked the hospitality Giants what challenges their businesses face in the near future, the answers included the usual bugbears: the outcome of the U.S. elections, the economy, global security, business consolidation, maintaining fee growth. Nevertheless, our Hospitality Giants remain optimistic about that last item: 68 of the 75 expect fees to grow. That’s one outcome that’s always welcome.


 


 


2016 Ranking Firm Headquarters Hospitality Fees (millions) Value (millions) Sq. Ft. (in millions) Design Staff 2015 Ranking
1 Los Angeles $124.029 $7,441.00 70.90 1,468 1
2 San Francisco $62.198 NR NR 2,200 2
3 Dallas $34.222 NR NR 284 3
4 St. Louis $25500 $850.00 9.30 330 6
5 New York $24.700 NR NR 202 4
6 Palm Beach Gardens, FL $23.898 NR NR 92 5
7 Omaha $21.557 Nr NR 134 7
8 Las Vegas $19.950 $280.00 0.90 34 8
9 Dallas $16.726 NR NR 226 14
10 New York $14.612 NR NR 90 11
11 Chicago $14.590 $275.00 NR 59 10
12 Marina Del Rey, CA $13.243 $512.38 1.99 74 19
13 New York $13.071 $300.00 3.00 94 17
14 New York $12.285 NR NR 283 31
15 Cincinnati $11.978 $3.00 2.00 47 29
16 Philadelphia $11.900 $400.00 3.00 45 15
17 Toronto $11.454 NR NR 119 13
18 Richmond, VA $10.614 $349.43 8.57 29 20
19 Novato, CA $10.260 $216.00 0.70 63 33
20 Warwick, RI $9.810 NR NR 71 18
21 New York $8.978 NR 0.27 100 16
22 Long Beach, CA $8.300 $120.00 NR 50 22
23 Baltimore $7.485 $84.75 NR 34 28
24 Oak Park, IL $7.209 $110.00 1.20 94 27
25 Baltimore $7.030 NR 1.75 202 37
26 Dallas $6.787 $68.00 6.50 63 26
27 Dallas $6.336 $750.00 2.10 44 30
28 Chicago $6.204 NR NR 45 23
29 New York $5.880 NR NR 36 21
30 Boston $5.612 NR NR 60 34
31 Los Angeles $5.200 NR NR 27 24
32 Houston $5.123 NR NR 40 32
33 New York $4.970 NR 0.68 37 35
34 Seattle $4.200 $225.00 NR 24 39
35 Las Vegas $4.100 $65.00 0.45 22 38
36 Hamburg, Germany $4.100 $50.00 NR 35 41
37 Woodland Hills, CA $3.825 NR NR 18 -
38 Myrtle Beach, SC $3.825 NR NR 7 -
39 Singapore $3.761 $200.00 1.50 32 68
40 Marietta, GA $3.610 $105.00 4.31 10 53
41 Boston $3.458 NR NR 61 60
42 Sudbury, MA $3.350 NR NR 26 43
43 Washington $3.140 $80.00 0.15 275 -
44 Boston $3.024 $475.00 1.10 15 -
45 San Francisco $3.000 NR NR 41 -
46 Fairfield, CT $2.996 $5.90 NR 14 46
47 San Francisco $2.924 NR NR 27 49
48 San Francisco $2.900 $4.50 0.21 25 47
49 Costa Mesa, CA $2.895 $105.40 0.30 22 48
50 Las Vegas $2.813 NR NR 14 69
51 Overland Park, KS $2.811 $120.00 NR 60 59
52 London $2.799 $22.00 0.90 15 45
53 Los Angeles $2.720 NR NR 19 50
54 Phoenix $2.700 $90.00 0.90 21 51
55 Los Angeles $2.500 $500.00 NR 16 54
56 Hilton Head Island, SC $2.483 $5.10 NR 23 75
57 Atlanta $2.387 NR NR 39 67
58 Atlanta $2.382 $2.63 1.48 20 -
59 Cleveland $2.200 $50.00 5.00 12 72
60 Atlantic City $2.160 $45.50 0.48 16 57
61 Frisco, TX $2.083 NR NR 8 -
62 Baltimore $1.990 NR NR 35 58
63 Atlanta $1.892 NR NR 15 -
64 El Segundo, CA $1.881 NR NR 12 -
65 St. Louis $1.877 $56.00 0.38 59 73
66 Philadelphia $1.837 $61.00 0.50 18 55
67 Pawtucket, RI $1.814 $19.50 0.17 23 -
68 Richmond, VA $1.736 $42.61 NR 11 66
69 Boston $1.733 $34.00 NR 12 -
70 Marietta, GA $1.721 $409.88 3.05 16 74
71 Washington $1.547 $12.00 0.23 28 70
72 Aspen, CO $1.493 $185.62 0.83 33 71
73 Rockville, MD $1.428 $34.00 2.70 18 -
74 Los Angeles $1.400 $80.00 NR 9 -
75 Dallas $1.350 NR NR 9 -

Methodology
The annual business survey of villamladebuky hospitality Giants ranks the largest design firms by hospitality design fees for the 12-month period from July 2015 through June 2016. Hospitality design fees include those attributed to:
1. All hospitality interiors work.
2. All aspects of a firm’s hospitality design practice, from strategic planning and programming to design and project management.
3. Fees paid to a firm for work performed by employees and independent contractors who are full-time staff equivalent. Hospitality design fees do not include revenues paid to a firm and remitted to subcontractors that are not considered full-time staff equivalent. For example, certain firms attract work that is subcontracted to a local firm. The originating firm may collect all the fees and retain a management or generation fee, paying the remainder to the performing firm. The amounts paid to the latter are not included in fees of the collecting firm when determining its ranking. Additionally, where applicable, all percentages are based on responding hospitality Giants, not their total number. The data was compiled and analyzed by the villamladebuky market research staff, led by Wing Leung, research director.


Related Links:

Hospitality Giants 2016 Research: Fees

Hospitality Giants 2016 Research: Market Sector Breakdown


> See more from the October 2016 issue of villamladebuky

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